Today the team Abra cryptocurrency services app, confirmed that it now supports ETH2 staking. With Ethereum’s transition to Proof of Stake, users can stake ETH and generate ETH2 rewards.
Once ETH2 is staked, it is then locked and will remain staked for an indefinite period until the Ethereum 2.0 upgrade is complete and Abra allows withdrawals.
The merge between Ethereum 1.0 and Ethereum 2.0 networks should be finalized before the end of 2022.
Also known as Ethereum 2.0, ETH2 is designed to be a significant upgrade to the Ethereum blockchain network that consists of sequential phases that will culminate in the transition from proof-of-work (PoW) to proof-of-stake ( PoS).
Many large blockchain networks such as Cardano, Solana and Avalanche already use the PoS consensus mechanism.
Ethereum’s move to PoS aims to improve transaction efficiency, which will result in faster processing times, lower gas fees, and greater security. PoS allows any user to become an ETH2 validator, called a staker, on the Ethereum network.
By staking ETH2, stakers commit funds that help secure the network and ensure that only legitimate transactions are validated. In return for helping secure the Ethereum network, stakingrs generate staking rewards in the form of ETH2. The more ETH2 a participant commits, the more ETH2 they receive in rewards.